What’s next for United, as CEO is ousted?

The unexpected departure of Jeff Smisek as CEO and president of United leaves many open questions about United and its future, beyond the possible corruption issues involved in his departure. Smisek has been replaced by Oscar Munoz, who has been president and CEO of the CSX railroad.

 

The investigation concerns charges that United improperly provided perks for officials of the Port of New York Authority, operator of Newark Liberty Airport, United’s main East Coast hub, including special flights to the Authority chairman’s southern home. Two other officials were let go along with him.

 

But many United passengers have other concerns about the airline and Smisek’s role. He has been the face of the airline since the merger of United and Continental, a period marked by repeated computer and reservation system failures and other problems, including declining on-time rates. Perhaps this is the opportunity to see if “working on the railroad” is a good background for straightening out those problems.

 

For more background from the Wall Street Journal, click HERE

 

 

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